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    Category: News

    The Shockingly Affordable Home This Couple Risked Buying—Should You Get One, Too?

    M&M Admin January 25, 2023

    With mortgage rates dropping and fee changes in the pipeline, now may be the time to buy that home

    M&M Admin January 24, 2023

    Home Price Expectations For 2023

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    STORIES – Christina Hall Made Weird Rookie Mistakes Buying and Selling Her Own House

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    Real Estate Trends: How To Save Money For A House In Today’s Market

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    M&M Admin December 21, 2022

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    M&M Admin December 21, 2022

    Reasons To Sell Your House This Season

    M&M Admin December 13, 2022

    12 Creative ways to sell your listings faster without a price reduction

    M&M Admin December 13, 2022
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    12 Creative ways to sell your listings faster without a price reduction

    Your mission is to make your listings stand out amongst the competition. Why would a buyer choose your listing versus the one that’s for sale down the street? Why would a buyer’s agent choose yours to show today when there are five other choices? Why buy your listing when there’s new construction with builder incentives?

    But, the market has changed and buyer concessions are becoming a thing. Instead of a price adjustment, do any or all of the following:

    1.     Have your seller contribute $10,000 toward the buyer’s closing costs. This can help a buyer buy-down the interest rate and lock it in at potentially far lower than the going mortgage rate. This is paid at settlement and flows through the title agency or attorney closing the transaction. This can impact the buyer’s payment more than the price.

    2.     Have your seller pay for one or two years of the buyer’s homeowners association (HOA) dues.  Again, this would be paid from the seller’s proceeds at closing. If the monthly HOA is $300, then maybe a $3,600 HOA credit from the seller would be better than a $5,000 price reduction; it would at least make your listing stand out in the MLS.  Perhaps do both instead of a $10,000 reduction.

    3.     Have your seller pay one year of property taxes for the buyer. This would be paid at closing by the seller. This is a similar concept to the previous point, but depends on how much we’re talking about. If it’s too much, perhaps a six-month tax credit would work.

    4.     If the house has condition issues, consider a decorating allowance to be escrowed at closing by the seller, for the buyer.  Always get feedback. If a buyer loves the house but just can’t live with that carpet, the seller can give a carpet allotment, for example, and get that buyer to buy! 

    5.     Pay for two years of a home warranty for the buyer. This is a pretty inexpensive perk, costing about $450 for one year of coverage. In many markets, it’s not offered by the seller and for years, it wasn’t even asked for by the buyer, lest they lose the bidding war. Make sure you put it in the MLS comments if you offer this incentive.

    6.     Add a $1,000 commission bonus to a buyer’s agent if it is pending by a certain date.  Again, be sure to list this in the MLS comments. Always prepare a new seller’s net sheet when you’re adding any of these sellers’ concessions to the transaction. Make sure the seller knows how their bottom line will be impacted. Many of these concessions will cost less than a price reduction, or make the price reduction a smaller one when combined with the concession.

    7.    Seller does not require inspections waived.  Again, a new concept that replaces the old market’s ‘as-is’ requirements.  

    8.    Advertise payments instead of price. Rates are still fairly low and rents are historically high. Help buyers to know what they can afford by purchasing a house versus renting by focusing on the monthly payment rather than the overall price of the home.

    9.    Have your favorite lender create a rate sheet to give away at showings and open houses The rate sheet should show three different ways to purchase the home — 30-year fixed, adjustable rate (ARM), and something else with the lowest payment.

    10.  Find out if your seller has an assumable mortgage. What’s the rate and what are the requirements? Advertise this in your MLS description as well as your home brochures! Note: Most FHA, VA, and USDA mortgages are assumable and some other loans are as well. It may be rare, but there are some out there.

    11.   Use 1-800 Home Hotline on your for-sale signs. This will help you generate leads and possibly sell your listing yourself! 1800HomeHotline.com. Capture unlisted phone numbers, answer zero-transfer calls, or immediately call the prospect back. Secret: many of your initial calls will be from neighbors of your listing…those are listing leads!

    12.  Use a home brochure box next to or attached to your For Sale sign! Talk about a blast from the past! There is an art to the home brochure. Of course, highlight all of the attributes of your listing and include your email address. In addition to this, there are many ways you can use the home brochure to make your phone ring! 

    Action Plan: Discuss with your seller (or sellers) who aren’t selling right away and decide on a new strategy.  Alternatively, start employing some or all of these items on your NEW listings, right from the get-go.

    Tim and Julie Harris host a podcast for Realtors called Real Estate Coaching Radio. They’ve been professional real estate coaches for more than 20 years, helping agents succeed in many different market conditions.

    Source: www.realtrends.com

    Author: Tim and Julie Harris

     

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